Investor sentiment toward the industrial sector has reached its highest level in five years, according to Corbin Advisors' Q2 2026 Inside The Buy-Side Industrial Sentiment Survey. The survey, conducted from June 12 to July 16, 2026, among 30 institutional investors and sell-side analysts representing roughly $1.1 trillion in equity assets under management, found that 84% of participants now characterize industrial sentiment as Neutral to Bullish or Bullish, a 34-point increase from the prior quarter and the strongest reading since the fourth quarter of 2021. Optimism is broad-based, with 82% expecting sequential revenue improvement and nearly three-quarters forecasting higher earnings per share, while three-quarters believe short-cycle orders will accelerate, led by data center-related products. Inflation remains the top concern, followed by growth and demand and lofty valuations, though over half of respondents do not expect the ongoing Iran War and related energy shock to materially impact industrial demand. Additionally, 86% anticipate increased industrial capital expenditures over the next six months, and investors now favor growth over margins by a two-to-one ratio.